Call us today and get off the train wreck, and put your life back on the rails. Whether it’s a bankruptcy, a consolidation, or other solution, you can and should schedule a free consultation with us. Retailer bankruptcies are turning into what CNN has called “a bloodbath” and there are retail stalwarts from Neiman Marcus Group to 99 Cents Only Stores facing the down the bankruptcy beast. The largest oil and gas bankruptcies since the pandemic started in March include Diamond Offshore Drilling with $11.8 billion of debt, Chesapeake … When Will Life Return to Normal? That’s significantly less than the 1,896 deals from 892 companies at the March 23 peak. If you are feeling the pain, it’s not time to shoehorn another job into that packed timeline. Request a call back. On the other side of the spectrum, commercial bankruptcies increased in certain industries, especially energy, retail and casual dining. Pretty simply, it’s not the 90s any more. They included YouFit Health Clubs LLC, and Gulfport Energy Corp., both of which joined a long list of their fitness and energy peers that have been slammed by the pandemic. You could argue that a very big comet killed the Tyrannosaurus rex, yet their descendants are still present in the modern-day chicken. Bankruptcies in the New York City region have surged 40% during the pandemic, according to Bloomberg. Bankruptcy filings year-to-date by large retailers, Note: Filings are by companies with $50m+ in liabilities between Jan. 1 and Nov. 16. “Stores must commit resources to observing social distancing guidelines and providing a safe environment for their customers,” said Cullen Speckhart, partner at Cooley focused on business restructuring and reorganization. At the same time that the Millennials and Digitals were seeing the train wreck, Gen X was on the train going off the rails. Have a confidential tip for our reporters? U.S. Retail Bankruptcies Rise, Store Closures Jump in First Half of 2019 September 11 2019 - 09:29AM Dow Jones News By Aisha Al-Muslim The pace of retail bankruptcies and store closures in the U.S. has accelerated so far this year compared with 2018, due in part to last year's lackluster holiday shopping season, a new report finds. As Retail Bankruptcies Rise, Landlords Must Prepare LOS ANGELES—With Radio Shack only the latest in a recent series of Chapter 11 filings, retail … “Retailers that have not developed strong access to online commerce may suffer significantly as we close out 2020,” said Jay Indyke, chair of law firm Cooley LLP’s bankruptcy and restructuring group. So far in 2020, there have been 36 bankruptcies by retail companies that have over $50 million in liabilities, the most for any comparable period on record, data compiled by Bloomberg show. August retail market: US sales rise 1.2%; bankruptcies rival decade-ago levels Author Alexander Bitter Chris Hudgins U.S. retail sales grew more slowly than expected in July and retailer bankruptcies are reaching record levels, but restaurants and products like electronics outperformed forecasts for … Retailers have to adjust to serve shoppers during this unprecedented time, with Covid-19 cases on the rise and regulations limiting the number of in-store customers. Here’s more of what you need…, So, are student loans considered marital debt? It’s not really the fault of cities – retail is a huge part of the tax base. Before it's here, it's on the Bloomberg Terminal. More retail bankruptcy filings are expected in the second half of the year, and bricks-and-mortar stores will continue to close at a higher rate, according to the report. The simple answer is yes, but there is a… Read More, Can loan modification stop foreclosure? It’s time to sit down and look at real solutions to the pain. After the traditional Black Friday and Christmas shopping sprees, some may opt to file for bankruptcy if they don’t bring in enough cash to survive. Unemployed, Underpaid and Overwhelmed: Unpacking Your Best Options. How to File Chapter 13 Bankruptcy in Florida. That’s down from a total of $935 billion in March, Bloomberg data show. “For those businesses, bankruptcy may be a viable forum in which to seek various forms of rent relief and to negotiate with key stakeholders,” Indyke said. The ripple effect isn’t being felt in the board rooms, but rather in the living rooms of the people who work for these companies. So far in 2020, there have been 36 bankruptcies by retail companies that have over $50 million in liabilities, the most for any comparable period on record, data compiled by Bloomberg show. The brand that … For 2021 however, individual filings are expected to soar. With Retail Bankruptcies on the Rise, Opportunities for Distressed M&A Increase While there were already a number of high profile retail bankruptcies in 2019 , current economic conditions and pandemic-related market challenges have exacerbated an already difficult retail environment, which has led to a significant increase in bankruptcies in 2020. Founded: 1947 (as Popular Merchandise Inc.) Filed for bankruptcy: May 4. Boomers, better established when the Recession hit were affected, too, but having had time to amass more assets, were not hot as hard. Despite the rise of Netflix and Redbox, Blockbuster was at its peak in 2004. Rise of Internet Retailing. Nabors has an extended early and final deadline for an exchange offer and GTT will see the end of its lender forbearance. The new subchapter of bankruptcy created through the small Business Reorganization Act was subchapter V…, Hundreds of thousands of businesses and millions of people in the United States struggle to pay…, How many times can you file chapter 7 bankruptcy? While bankruptcy is always a last resort, it can provide retailers with useful tools. Home; In 7 Years at Today's Vaccine Rates, Brace Yourself: Long-Haul Travel May Not Get Going Until 2023, South Korea Leads World in Innovation as U.S. Exits Top Ten, Virgil Capital Founder Admits $100 Million Crypto Fund Fraud, Fuel-Cell Truck Startup Hyzon Agrees to Merge With Decarbonization Plus SPAC. How Many Times Can You File Chapter 7 Bankruptcy? The preppy retailer worn by celebrities and shoppers alike filed for bankruptcy on May 4. This equals the entire number of filings for 2016. While there were already a number of high profile retail bankruptcies in 2019, current economic conditions and pandemic-related market challenges have exacerbated an already difficult retail environment, which has led to a significant increase in bankruptcies in 2020. According to CNBC , this puts 2017 on pace to tie 2009's record, when 18 chain retailers filed for bankruptcy protection. The continued growth in e-commerce, as shown in Figure 3, has also contributed to retail store weakness. The storefronts go dark, and people go out of work, and the pain is felt up and down the economic ecosystem. Observers expect bankruptcies in retail to rise; it’s just a question of how much, when the wave (s) will hit and what will become of the companies … Malls were once a place to pick up everything from major appliances to boutique items, hang out, and find entertainment. The article said: They burned through savings, and have not recovered as much as everyone seems to think that they should. 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